Head north to the water. Walk into it - *poof* - a canoe appears! Go north to Paloon. A guy says for 32 gil he'll take you to Poft. Pay him and head up to Poft. In Poft, you see the Pub to the east. Cid is in there! He's the airship pilot. He charges:

Bafsk - 100
Salamand - 200
Semitt Falls - 300
Kas'ion - 400

Take the airship up to Salamand. It's an ice town. The men are slaved in Semmit Falls. Find Josef in the building. Ask him about Mythril. He says he needs you to prove yourself first.

Save and do battles around here to get money for items. When you are ready, head west until you see the river to the south. Take the river back east to the little cave entrance to the north. Go in the cave to enter Summit Falls.